Pensions are under pressure: more and more people are retiring and fewer and fewer people are working. According to experts, the system must adapt to change.
Munich – Anyone who retires in Germany usually does so in their mid-sixties. The problem: The aging society is putting the social system under pressure. It is not for nothing that various economists, politicians and association leaders have called for a higher retirement age. Germany is by no means alone in this development: According to a
BBC
report, British financial experts also agree that retirement in one's sixties is more of a "dream than reality".
When it comes to retirement, “I think 75 is the new 65,” Chris Parry of Cardiff Metropolitan University told the
BBC
. Larry Fink, CEO of the investment company Blackrock, also assumes that retirement at the age of 65 will no longer be possible for most people.
“Even more difficult in 30 years”: Financial experts see increasing strain on pensions
“Retirement is a much more difficult undertaking than it was 30 years ago,” Fink explained in a letter to investors. “And in 30 years it will be even more difficult.” He cites the collapse of social safety nets and rising costs of living – and increasing life expectancy – as the causes.
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In Germany in 1960 this was around 66.9 years for men and 72.4 years for women. In 2020, according to the Federal Statistical Office, it was 78.3 and 83.2 years respectively. This development is no different worldwide. According to an estimate by the United Nations, one in six people will be 65 years old or older by 2050. This means that societies are reaching the point where more people are retiring than entering the workforce. In addition, people receive pensions for longer.
Pension systems have not adapted to social developments – according to the economist
Pension systems have not adapted to change, criticized Gal Wettstein, senior economist at the Center for Retirement Research at Boston College, to the
BBC
. It is also “unclear why the mid-60s became such a key age for retirement.” He speaks of a “rough judgment” that should force people out of working life towards the end of their lives.
FDP politician Christian Dürr recently struck a similar tone when he called for a flexible retirement age. “There are a lot of people who say: I have a great job or have found a new task that I want to do,” said the head of the FDP parliamentary group in the Bundestag to
Bild
. “Why do I put people like this on the sidelines? This is downright age-discriminatory.” Dürr can imagine a flexible retirement age. Even people aged 73 would still be able to work. It's not far from the 75 that Chris Parry brought into the game. (ms)